You are on page 1of 7

IN THE CIRCUIT COURT OF THE FIFTEENTH JUDICIAL CIRCUIT, IN AND FOR PALM BEACH COUNTY, FLORIDA COMVEST INVESTMENT

PARTNERS HOLDINGS, LLC; FMI ACQUISITION, LLC d/b/a INNOVATIVE HEARTH PRODUCTS; JOHN CAPLE; and MARK KLEIN, Plaintiffs, vs. MICHAEL R. MONTRIEF, Defendant. ______________________________________/ ORDER GRANTING TEMPORARY INJUNCTION THIS MATTER is before the Court upon the Motion for Temporary Injunction (Motion) filed by Plaintiffs, Comvest Investment Partners Holdings, LLC (Comvest), FMI Acquisition, LLC (FMI), John Caple, and Mark Klein. A hearing on the Motion was held on December 20, 2012, with counsel for Plaintiffs present.1 Having considered the Motion, the record, the relevant legal authority, and being otherwise duly advised in the premises, it is hereby ORDERED and ADJUDGED that the Motion is GRANTED. At the hearing, the Court heard testimony from Plaintiff Mark Klein. The Court finds that the testimony was credible and trustworthy. The Court also received into evidence the Declarations of Mark Klein and John Caple, both dated November 13, 2012. The Court makes the following findings: CIRCUIT CIVIL DIVISION CASE NO.: 12-CA-020975 (AI) JUDGE: HON. MEENU T. SASSER

Counsel for the Defendant was present at the hearing as an observer.

Plaintiffs have demonstrated a substantial likelihood that they will succeed on the merits of their claims for Defamation (Count I), Tortious Interference with Advantageous Business Relationships (Count II), and Injurious Falsehood (Count III). The elements of defamation and injurious falsehood (Counts I and III) are virtually identical. Plaintiffs must show that (1) a falsehood (2) has been published, or communicated to a third person (3) when the defendant-publisher knows or reasonably should know that it will likely result in inducing others not to deal with the plaintiff and (4) in fact, the falsehood does play a material and substantial part in inducing others not to deal with the plaintiff; and (5) special damages are proximately caused as a result of the published falsehood. McAllister v. Breakers Seville Assn, Inc., 981 So. 2d 566, 573 (Fla. 4th DCA 2008) (injurious falsehood); see also Jews for Jesus, Inc. v. Rapp, 997 So. 2d 1099, 1106 (Fla. 2008) (identifying virtually identical elements for defamation). Here, Plaintiffs have presented sufficient evidence that Defendant published the false statements set forth at Paragraph 2(a) below, which he knew or should have known were false. Defendant knew or should have known that the statements would induce others not to deal with Plaintiffs; indeed, that was his intention.2 Finally, Plaintiffs are substantially likely to show that Defendants defamatory statements have played a material and substantial part in inducing others not to deal with Plaintiffs, and have caused damages to Plaintiffs in the form of lost sales, goodwill, business reputation, and costs associated with losing a candidate for an executive-level position.

Indeed, Plaintiffs presented evidence that one of the first lines on Defendants website was FMI Fireplaces Products Fraud: Read This Before Doing Business with FMI Fireplaces, making clear his intention to induce others not to do business with Plaintiffs. 2

Moreover, the Court finds that many of Defendants statements are defamatory per se, and therefore, special damages are presumed,3 but in any event, Mr. Klein provided testimony supporting special damages. See Army Aviation Heritage Foundation and Museum, Inc. v. Buis, 504 F. Supp. 2d 1254, 1259 (N.D. Fla. 2007) (a false publication that deters third persons from dealing with [plaintiff corporation], assails its management, or impugns its method of doing business is actionable per se, and plaintiff therefore need not show damages) (citing McIver v. Tallahassee Democrat, Inc., 489 So. 2d 793, 794 (Fla. 1st DCA 1986)); Scott v. Busch, 907 So. 2d 662, 667 (Fla. 5th DCA 2005) (A statement that a person has committed a crime or done something illegal is one of the classic slander per se categories that is, the pleader need not allege specific damages to state a cause of action.). Accordingly, the Court finds that Plaintiffs are substantially likely to satisfy the elements for defamation and injurious falsehood. The elements of a cause of action for tortious interference with advantageous business relationships are: (1) the existence of a business relationship [or prospective business relationship] under which the plaintiff has legal rights, (2) an intentional and unjustified interference with that relationship by the defendant, and (3) damage to the plaintiff as a result of the breach of the business relationship. Zimmerman v. D.C.A. at Welleby, Inc., 505 So. 2d 1371, 1373 (Fla. 4th DCA 1987) (affirming in part temporary injunction for defamatory statements uttered incident to tortious interference with advantageous business relationships) (quoting Symon v. J. Rolfe Davis, Inc., 245 So. 2d 278, 280 (Fla. 4th DCA 1971)). Here, Comvest and FMI have presented sufficient evidence that (1) they have prospective business relationships with potential customers (in the case of FMI) and investors (in the case of Comvest); and (2) Defendant interfered with those relationships, intentionally and without For example, the Defendant has stated that Plaintiffs operate a fraudulent enterprise, distribute unregistered guns, fund racist hate groups, have committed assault, and shoot up state property. See Paragraph 2(a), infra. 3
3

justification, by posting defamatory statements about Plaintiffs on his websites and manipulating those websites to make them appear as high as possible in internet search engine rankings, and re-posting the statements on the website ripoffreport.com in an effort to turn away customers specifically researching feedback on Plaintiffs services. As a direct and intended result, (3) Plaintiffs are suffering a loss of goodwill and an unquantifiable loss of sales. By way of example, Plaintiffs presented evidence that seven visitors to ripoffreport.com marked Defendants defamatory report as useful. Plaintiffs also presented evidence that several FMI clients have contacted customer service with concerns about the websites. Therefore, the Court finds that Plaintiffs are substantially likely to satisfy the elements for tortious interference. There is a substantial likelihood that the continued publication of the statements set forth at Paragraph 2(a) below will cause injury to the Plaintiffs. Plaintiffs have presented evidence that the Defendants websites (www.FMIfireplacesfraud.com and www.FMIfraud.com) have injured their reputation and goodwill, and have resulted in lost sales that would be difficult to quantify. See, e.g., Declaration of Mark Klein at 15-16; Declaration of John Caple at 11. Plaintiffs will suffer irreparable harm if injunctive relief is not granted. Damage to goodwill constitutes irreparable harm. See, e.g., Mohr v. Bank of New York Mellon Corporation, 39 Fed. Appx. 639 (11th Cir. 2010) (loss of goodwill is an irreparable injury); see also Ferrero v. Associated Materials, Inc., 923 F.2d 1441, 1449 (11th Cir. 1991) (upholding district courts issuance of a preliminary injunction due to the inadequacy of monetary damages as compensation for the loss of customers and goodwill). Furthermore, harm is irreparable and a legal remedy is inadequate where, as appears to be the case here, it is difficult to determine how many sales were lost as a result of the defamatory statements on the websites and Defendants intentional interference with Plaintiffs business relationships. E.g., Zimmerman v. D.C.A. at

Welleby, Inc., 505 So. 2d 1371, 1372 (Fla. 4th DCA 1987); DeRitis v. AHZ Corp., 444 So. 2d 93, 94 (Fla. 4th DCA 1984). Plaintiffs have established that no adequate remedy at law exists, due to the continuing threat of harm. See Saadi v. Maroun, Case No. 07-01976, 2009 WL 3617788, at *3 (M.D. Fla. Nov. 2, 2009) (injunctive relief may be appropriate and necessary in internet-based defamation cases because otherwise, a defendant harmed by a continuing pattern of defamation would be required to bring a succession of lawsuits if an award of damages was insufficient to deter the defendant from continuing the behavior.). In view of these findings, Defendant and his officers, agents, servants, employees, attorneys, and any persons and entities in active concert or participation with him, are hereby ENJOINED pending trial as follows: 1. Defendant and all others acting in concert with him are enjoined from directly or

indirectly interfering with Plaintiffs actual or prospective business relationships by: (a) publishing, republishing, or causing to be published the following statements, portions of any of the following statements, or statements substantially similar to any of the following statements: i. FMI Fireplaces Products Fraud: Read This Before Doing Business with FMI Fireplaces ii. FMI Fireplaces Products via Comvest Group funds hate groups promoting youth violence. iii. Mark Kleins doppelganger was to sign as guarantor but conveniently whited out. White Out, the perfidious FMI Products LLC CEO Mark Kleins most trusted post agreement negotiation trick. iv. [F]acts become lies in Marks multiple deKleining psychoses v. Kleins family never paid one cent of rent or utilities after moving in (not even after court judgment was entered).

vi. Klein clearly offer[s] both immoral and financial support for gang-related activities. vii. Klein supplies others with unregistered guns. viii. Klein and his son stole Mr. Montriefs refrigerator. ix. Klein cheered on . . . gang banging punks. x. CEO Mark Klein . . . assaulted then accosted [Mr. Montrief] physically . . . thus exemplifying how Mark treats his customers and business associates with little to no genuine respect. xi. [T]he Kleins mischaracterized and mislead the judge in unison (with Mark whispering answers to Dane) sending the meta-message to plaintiff that he should have been focused on the real guilty person who harbors the true moral and financial ownership of this mess at first instance: IHP Innovative Hearth Products and FMI Products CEO Mark Klein. xii. Is there another fireplace manufacturer who doesnt underwrite violence and hate? xiii. When the Kleins get bored, they shoot up state property for practice. xiv. Mark Klein changed his business name acronym into IHP or Innovative Hearth Products because it was easier for Mark Klein to jump ship from FMI Products sinking brand rather than humbling himself to the pain he causes people of color who are just some of those folks Mark Klein unilaterally deems as inferior before attempting to abuse. xv. What do we stand for folks, if Latinos can be brutalized by gang banging punks cheered on by a totalitarian millionaire like Mark Klein who encourages and/or protects those who mean evil toward innocent human beings thus meriting investment capital from John Caples Comvest in furtherance of corrupt business methods? xvi. John Caple Managing Director at the Comvest Group believes in money over moral virtue to justify funding Mark Kleins brand of hate. xvii. John Caple at Comvest Group Partners . . . actually thinks creating long term value by growing Mark Kleins business lies and hatreds is a good idea. xviii. Comvest recently inject[ed] significant capital into FMI Products now IHPs likely struggling or distressed business restructuring process. (b) publishing or republishing the statements delineated in paragraph 1(a), or tortiously interfering with the actual or prospective business relationships of, Comvest Group Holdings LLC, FMI Products, LLC, John Caple, and Mark Klein on any website, including, but not 6

limited to www.FMIfireplacesfraud.com, www.FMIfraud.com, and www.ripoffreport.com. This part of the Order requires Defendant to remove, from any website over which Defendant has sufficient control, all defamatory material about Comvest Group Holdings LLC, FMI Products, LLC, John Caple, and Mark Klein that Defendant has published or republished there including the statements set forth at Paragraph 2(a) above within twenty-four (24) hours of the entry of this temporary injunction. Furthermore, Defendant within twenty-four (24) hours of the entry of this temporary injunction, shall request the domain registrar and web host(s) for www.FMIfireplacesfraud.com, www.FMIfraud.com, http://www.ripoffreport.com/organized-crime/fmi-products-llc/fmi-

products-llc-mark-klein-af660.htm, and any other website containing substantially similar content, to carry out the intent of Paragraphs 1 and 2 above. This provision of the Order requires Defendant to take all steps necessary to ensure that the domain registrar and web hosts remove from the internet the websites www.FMIfireplacesfraud.com, www.FMIfraud.com, and any other website containing substantially similar content. Plaintiffs shall be required to post a bond in the amount of $20,000.00. This injunction shall remain in place until dissolved by this Court. 2012. DONE and ORDERED in Chambers, at West Palm Beach, Florida, on December 21,

cc:

Paul J. Kneski, Esq. (pauljkneski@bellsouth.net) Marcos Daniel Jimnez, Esq. (mjimenez@mwe.com) Audrey M. Pumariega, Esq. (apumariega@mwe.com) Michael R. Montrief (michael@fsrefund.com)

You might also like